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House of Representatives
Session of 2019 - 2020 Regular Session


Posted: June 24, 2019 10:29 AM
From: Representative Lynda Schlegel Culver
To: All House members
Subject: Title 75 Amendments
In the near future, I intend to introduce legislation amending Title 75 (Vehicle Code) in order to: (1) provide impound notices to lienholders in a timely manner, and (2) require crushed lien vehicle notices with reasonable timing rules to protect vehicle collateral from being destroyed without proper authorization from the lienholder.
1. Impoundment Notice to Lienholders in a Timely Manner
The purpose of this change is to notify vehicle lienholders in a timely manner of the impoundment of a vehicle with their lien on it, and to allow the lender as lienholder to recover the vehicle in a reasonable expeditiously and unencumbered manner. The goal is to allow lienholders a timely opportunity to prevent vehicles from being perpetually impounded and incurring related large storage fee costs.
2. Crushing Liened Vehicles Notice Requirement
The purpose of this change is to prevent borrowers who are not paying their car loans from selling a liened vehicle to a crusher or salvage dealer and having the vehicle crushed in exchange for cash.
I believe these two changes to the Vehicle Code are an appropriate balance between ensuring lienholders are able to recover their vehicle collateral while not placing an undue burden on individuals in possession of the vehicle.
I hope you will consider joining me in cosponsoring this legislation.

Introduced as HB1745